Person cannot ply their vehicle on the road without insurance cover as per motor vehicle act. Any one who runs its vehicle on the road without insurance is an illegal thing. People neglect motor insurance because they have to pay premium which they believe as waste of money. But after occurrence of loss owners of vehicle realizes need of it. If you are one of those who are avoiding insurance just because of its price then you must know the following.

Ways to reduce your Motor Insurance Premium.

1) No Claim Bonus (NCB)

            In case you have not made any claims for entire policy year, you will be benefited by discount named (No Claim Bonus). Company always appreciates a driver who has good safe driving record. NCB can go up to 50% according to your claim free years. The discount is available on your own damage premium.

2) Membership.

            In case you are member of recognized Automobile Association then you are eligible for discount in premium.

3) Antitheft Devices.

            If you have installed any antitheft devices then you can avail discount in premium subjected to devices are approved by ARAI (Automotive Research Association of India)

4) Registration city.

            City in which you have registered your vehicle has an affect on your premium Irrespective of place where it is used. Vehicle registered in metro cities charged with higher premium than the vehicle registered in smaller cities.

5) Voluntary Excess.

            Voluntary excess is amount which has to borne by insured in case of claim. So claim less than excess amount insurance company is free from payment. If you opt for voluntary excess then company will offer you discount in premium. Higher the excess lower will be your premium.

 6) Buy Online.

            If you want to buy insurance policy then buy it online. Buying online is always a smarter way to reduce premium. Online products are always cheaper then any offline product.

            So when you will buy motor policy do think about different ways to avail discounts in premium. You can always compare products of different companies to get cheaper cost. You can take advice from your agent or broker to get competitive rates.